SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : ajtj's Post-Lobotomy Market Charts and Thoughts -- Ignore unavailable to you. Want to Upgrade?


To: ajtj99 who wrote (59822)5/12/2022 4:15:04 PM
From: Real Man  Read Replies (2) | Respond to of 98121
 
The Fed balance sheet reductions are irrelevant because banks are storing $2 trillion excess liquidity in reverse repos. These $2 trillion can be injected on short notice, so there is no lack of liquidity. There seems to be no systemic stress to cause 2008 type events,
at least not at the moment. All derivatives games by the boys, the system is fine.
Seems to be intentional US dollar pumping through interest rates swaps and carry trade, maybe to kill commodity inflation. Unless the Fed does > 2 trillion qt, the system will have enough liquidity.